Kenya, Uganda Agree To Extend Eldoret-Kampala Pipeline

In a hurry? Here’s a quick summary…

• Kenya and Uganda sign a tripartite agreement allowing Uganda’s state oil firm to import petroleum products through Kenya, resolving longstanding disputes in the petroleum sector.
• The agreement, finalized after a meeting between Presidents Ruto and Museveni, is part of a series of seven MoUs addressing trade barriers and includes plans to extend the Standard Gauge Railway to Kampala and the Democratic Republic of Congo.

Kenya and Uganda have inked a tripartite agreement permitting Uganda’s state oil firm to import petroleum products through Kenya, announced President William Ruto after a meeting with Ugandan President Yoweri Museveni at State House, Nairobi. 

The agreement, finalized during the Joint Ministerial Meeting (JMC) in Kampala, addresses challenges in Uganda’s petroleum sector by enabling direct importation of refined petroleum products by Uganda National Oil Company Limited.

President Ruto highlighted that the agreement was one of seven MoUs signed during the JMC, aimed at resolving various trade barriers between the two nations. 

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These agreements spanned sectors including education, sports, youth affairs, public service management, and foreign service cooperation.

Additionally, both countries agreed to extend the Standard Gauge Railway (SGR) from Naivasha to Kampala and the Democratic Republic of Congo (DRC), recognizing it as a vital infrastructure artery for efficient goods transportation. 

Ministers from both sides were tasked with mobilizing resources for this project’s implementation and reporting on progress by the end of 2024.

This landmark agreement follows months of tension between Kenya and Uganda over oil transportation. 

Disputes arose when Nairobi denied Uganda’s government-owned oil marketer a license to operate locally and handle fuel imports to Kampala, as well as the use of Kenya Pipeline Company infrastructure for transporting refined petroleum products from Mombasa to Uganda. 

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Uganda’s subsequent legal action against Kenya at the East African Court of Justice underscored the severity of the rift, accusing Kenya of obstructing Uganda National Oil Company’s rights as an Oil Marketing Company in Kenya.